Following up on “Why Timing Your RFI/RFP Matters,” this article helps you prioritize your RFI or RFP questions and create a process for following up with lenders. We’ve also updated our RFI/RFP template. You can use the document for your reference when drafting an RFI/RFP of you own.
As mentioned in the November issue, the first step to creating an RFI or RFP is setting up an internal process:
- Decide who from your school will be involved in the development of your RFI/RFP content and process.
- Develop a time frame beginning with internal development and ending with the evaluation process.
- Create an evaluation system — what are the most critical elements of the RFI/RFP?
- Set up a realistic deadline for a lender to respond — ideally, three to four weeks.
- Decide how you will deal with lenders not having accurate information at the time of the RFI/RFP — for example, create a follow-up step and contact lenders to go over terms again before making your final decision.
Once you’ve addressed these issues, you’re ready to put together the content of your RFI or RFP. Which lender features are most important will vary from one school to another, but three features that should rank at the top of the list for any school are:
- Borrower education — does the lender provide comprehensive, unbiased tools to help students minimize their borrowing and wisely manage their finances?
- Customer service — what are the lender’s call center hours? Are the phones answered by knowledgeable customer service staff or is the caller routed through a lengthy automatic voice response system? Is online help available?
- Costs/fees — does the lender charge fees for loans? If so, how much? It’s also a good idea to provide each lender with the same assumptions in order to compare lenders accurately.
Most likely, you will want to compare other lender features that are important for your particular situation. Rank the features you want to evaluate — those that are more important to your school should carry more weight in the decision-making process. You may also decide that some features are required and some are optional, so they should be weighed differently, as well.
Finally, keep in mind the subject-to-change clause that was covered in the previous issue — set aside enough time in your lender evaluation process to reach back to lenders and confirm the rates and terms they provided. This will spare you and your students the frustrations of receiving inaccurate or expired information.